SA-US relations | Western Cape worried about economic impact

CAPE TOWN - The Western Cape and Agri Western Cape say they are extremely concerned about the devasting economic impact of the political fallout between the US and SA.

This follows serious allegations made by the United States Ambassador to South Africa, claiming the country supplied war weapons to Russia.

Their concern is that the latest revelations may jeopardise SA's preferential access to the US market under the auspices of the African Growth and Opportunity Act (AGOA).

READ: US Ambassador apologises to SA and its people

South Africa was the largest trading partner to the United States of America under the AGOA in 2021.

Under the African Growth and Opportunity Act -- which was introduced in 2000 -- South Africa enjoyed special privileges, exporting certain goods to the US duty-free. viz@ CITRUS AND NUTS

In 2015, it was extended to 2025 and now, it could be hanging in the balance.

READ: US-SA relations | Economist warns of damage to rand

Western Cape Alan Winde says the economy is already struggling following the impact of the COVID-19 pandemic and crippling power cuts. 

He says trade is central to economic stability.

* eNCA's Ayesha Ismail reports.